Technology

Shopify Rival BigCommerce Surges 292% On Debut After $216M IPO

Trading had to be halted due to volatility within three minutes of opening.
Lauren MuskettAugust 6, 2020

BigCommerce Holdings shares skyrocketed on the first day of trading at Nasdaq Stock Market on Wednesday.

The Austin, Texas-based company’s shares opened at $68 and soared as much as 292% to $93.99 in intraday trading on its debut.

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Trading had to be halted due to volatility when shares skyrocketed to $79.40 within three minutes of open and again when the stock surged to $91.80 a share, Business Insider reported.

BigCommerce raised $216 million in its initial public offering on Tuesday, pricing its shares at $24 each. The e-commerce software-as-a-service (SaaS) provider sold 6.85 million shares, while other stakeholders sold about 2.17 million shares.

The offering was priced significantly above the initial indicated range of $18 to $20 after it filed to go public with the United States Securities and Exchange Commission last month.

BigCommerce says it has more than 60,000 customers globally including The Unilever Group-owned Ben & Jerry’s, Sharp, and Sony.

The SaaS firm competes with Shopify in the space, whose shares have soared nearly 175% year-till-date.

BigCommerce’s revenue in the quarter ended March was $33.2 million, up 29.7% year-on-year. The company incurred a loss of $4 million in the same period, down from $10.5 million recorded in the same period a year earlier.

BigCommerce shares closed nearly 201% higher at $72.27 on Wednesday and rose another 3.78% to $75 in the after-hours session.

This story originally appeared on Benzinga.

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